Skip to main content
Survey Report

Survey shows increase in Q3 2018 commercial insurance prices

Commercial Lines Insurance Pricing Survey 2018 Q3

Casualty|Property
N/A

December 10, 2018

Willis Towers Watson’s Q3 Commercial Lines Insurance Pricing Survey shows price increases for commercial auto, commercial property, and excess/umbrella liability.

Commercial insurance prices again increased in the third quarter of 2018, according to Willis Towers Watson’s most recent Commercial Lines Insurance Pricing Survey (CLIPS). The survey compared prices charged on policies underwritten during the third quarter of 2018 to those charged for the same coverage during the same quarter in 2017. The aggregate commercial price change reported by carriers was over 2% in the third quarter, after exceeding 2% for the first time in three years in the second quarter of 2018.

Data for three standard lines indicated material price increases in the third quarter: commercial auto, commercial property, and excess/umbrella liability. Price changes for most lines were similar to those reported in the second quarter of 2018. Commercial property price data, which had been showing small price decreases for much of the recent past, now indicates increases in the low to mid-single digits for the fourth consecutive quarter. The outlier in the results continues to be commercial auto, where meaningful price increases are again reported and are near double digits for the fourth consecutive quarter. CLIPS indicates ongoing material price reductions for workers compensation, in contrast to all other surveyed lines.

When comparing account sizes, price changes were positive and of similar magnitude across all segments for the second consecutive quarter, as mid-market and large accounts pricing data caught up to the recently larger increases reported for small accounts. Specialty account prices accelerated modestly, and are of similar magnitude to standard lines in aggregate.

Change in price level vs. same quarter one year prior

Graph of change in price level vs. same quarter one year prior

 

Contact Us
Related content tags, list of links Survey Report Casualty Property Insurance United States Bermuda